Bitcoin has been standing above the $100,000 mark for four consecutive days, with market sentiment warming up. Optimistic market analysts have already expected that we will soon see BTC reach a new all-time high (previous high was $109,800 in mid-January this year).
Interestingly, due to continuous currency depreciation, the Bitcoin/Turkish Lira trading pair has already broken through BTC's local historical high this morning.
Turkish Currency Depreciation, Bitcoin Becomes Capital Flow Direction
Looking back over the past 5 years, whenever Turkey experiences a major currency depreciation crisis, cryptocurrency trading volume often shows significant growth, with Bitcoin becoming a new hedging option for the public. We know that under the trade war initiated by former US President Trump, the US dollar has begun to weaken, and currencies of various countries have depreciated, with the New Taiwan Dollar recently breaking through the 30 mark.
In the context of increasing global economic uncertainty, will cryptocurrencies become a financial hedging tool for more people in countries with unstable currencies? Will Turkey's situation occur in more countries? This is worth our continued observation.
Turkey Ranks High in Cryptocurrency Adoption
Affected by inflation and currency depreciation, Turkey has become one of the top countries in cryptocurrency adoption. The world's largest exchange, Binance, once released a research report showing:
- 40% of Turkish citizens hold digital asset investment positions;
- 73% of respondents believe the number of cryptocurrency investors will continue to increase in the next 5 years;
- 2 out of every 5 Turkish residents hold digital assets;
- Local cryptocurrency acceptance in Turkey has risen from 16% to 40% over the past 3 years;
- Turkey is the fourth-largest cryptocurrency trading market globally, with its cryptocurrency trading volume significantly higher than several other major economies.
